Corporate Social Responsibility (Management)
For my purpose here, I would like to examine the case for which the two views of Corporate Social Responsibility (CSR) are positioned in. One of these viewpoints is that CSR is practiced ethically in businesses simply because it is the right thing to do, through being moral and just by following a Values-based management system. The other perspective on CSR is that it is simply a ‘do-gooder’ ploy, and that it is only practiced within firms to impress society and those around them. For the duration of the following essay, both viewpoints will be discussed and analysed to then predict which view is more valid, acceptable, and realistic in today’s society.
In order to do this, we first need to expand upon the interpretation of what managing for sustainability means in this context. Often viewed as a new management tool, sustainability recognises that while “corporate growth and profitability are important, it also requires the organisation to pursue societal goals, specifically those relating to sustainable development – environmental protection, social justice and equity, and economic development.” (Wilson, 2003 p.1) In other words, an organisation cannot hope to achieve long term prosperity for all of its stakeholders without recognising that it is operating within a society which will scrutinise and judge it upon its moral and social actions. Wilcox (2007, p.2.7) takes this further in the notes by highlighting that all organisations are embedded in societies and communities.
So from this information, is it simply expected from businesses to act socially just, through it becoming a social norm of recent?, or is it just that because so many firms practicing this to ‘do-gooder’ ploy to look good, that now all businesses are practicing it as well? There are two specific opposing views of Social Responsibility; known as the Classical View and the Socioeconomic View.
The ‘Classical View’ sees that a businesses’ one and only social
In order to do this, we first need to expand upon the interpretation of what managing for sustainability means in this context. Often viewed as a new management tool, sustainability recognises that while “corporate growth and profitability are important, it also requires the organisation to pursue societal goals, specifically those relating to sustainable development – environmental protection, social justice and equity, and economic development.” (Wilson, 2003 p.1) In other words, an organisation cannot hope to achieve long term prosperity for all of its stakeholders without recognising that it is operating within a society which will scrutinise and judge it upon its moral and social actions. Wilcox (2007, p.2.7) takes this further in the notes by highlighting that all organisations are embedded in societies and communities.
So from this information, is it simply expected from businesses to act socially just, through it becoming a social norm of recent?, or is it just that because so many firms practicing this to ‘do-gooder’ ploy to look good, that now all businesses are practicing it as well? There are two specific opposing views of Social Responsibility; known as the Classical View and the Socioeconomic View.
The ‘Classical View’ sees that a businesses’ one and only social
References: - Wilcox T, 2007 Managing for Organisational Sustainability, The University of New South Wales, Sydney - Wilson M, (2003) “Corporate sustainability: What is it and where does it come from?” Ivey Business Journal Online, March-April, vol 67, no - Donaldson T, (1996) “Values in tension: Ethics away from home” Harvard Business Review, 74 (5):48-62 - Solomon RC, (2004) “It’s Good Business”, in Shaw WH, and Barry V, (Eds) Moral issues in Business, Wadsworth, Belmont, pp 35-44 - Chia, J. & Synnott, G. (2009) An Introduction To Public Relations: From Theory to Practice. South Melbourne, Victoria: Oxford University Press. - Petersen H, Vredenburg H. (2009) “Morals or Economics? Institutional Investor Preferences for Corporate Social Responsibility” Journal of Business Ethics. November 15, 2009; 90(1):1-14. Accessed May 5, 2010. - Anderson C. “Values-Based Management” Academy of Management Executive November 1997; 11(4):25-46. Available from: Business Source Complete, Ipswich, MA. Accessed May 3, 2010. - Eskew M. “Leading with Conviction: Values-Based Management For Today 's Turbulent World”. Executive Speeches. April 2005; 19(5):26-29. Accessed May 4, 2010. - Pruzan P. “From Control to Values-Based Management and Accountability” Journal of Business Ethics. October 1998; 17(13):1379-1394. Accessed May 6, 2010.